Sonic Healthcare Limited, a healthcare company, provides medical diagnostic services, and administrative services and facilities to medical practitioners.
Solid track record established dividend payer.
Share Price & News
How has Sonic Healthcare's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: SHL's share price has been volatile over the past 3 months.
7 Day Return
1 Year Return
Return vs Industry: SHL exceeded the Australian Healthcare industry which returned -8.3% over the past year.
Return vs Market: SHL exceeded the Australian Market which returned -17.6% over the past year.
Price Volatility Vs. Market
How volatile is Sonic Healthcare's share price compared to the market and industry in the last 5 years?
Simply Wall St News
2 weeks ago | Simply Wall StWhat Kind Of Shareholders Own Sonic Healthcare Limited (ASX:SHL)?
4 weeks ago | Simply Wall StTrade Alert: The Non-Executive Independent Director Of Sonic Healthcare Limited (ASX:SHL), Elizabeth Wilson, Has Just Spent AU$117k Buying Shares
4 weeks ago | Simply Wall StSonic Healthcare Limited (ASX:SHL) Is About To Go Ex-Dividend, And It Pays A 2.8% Yield
Is Sonic Healthcare undervalued compared to its fair value and its price relative to the market?
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: SHL (A$23) is trading below our estimate of fair value (A$27.36)
Significantly Below Fair Value: SHL is trading below fair value, but not by a significant amount.
Price To Earnings Ratio
PE vs Industry: SHL is poor value based on its PE Ratio (18.7x) compared to the Healthcare industry average (12.2x).
PE vs Market: SHL is poor value based on its PE Ratio (18.7x) compared to the Australian market (13.4x).
Price to Earnings Growth Ratio
PEG Ratio: SHL is poor value based on its PEG Ratio (2x)
Price to Book Ratio
PB vs Industry: SHL is overvalued based on its PB Ratio (2x) compared to the AU Healthcare industry average (1.2x).
How is Sonic Healthcare forecast to perform in the next 1 to 3 years based on estimates from 12 analysts?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: SHL's forecast earnings growth (9.4% per year) is above the savings rate (1.1%).
Earnings vs Market: SHL's earnings (9.4% per year) are forecast to grow slower than the Australian market (9.7% per year).
High Growth Earnings: SHL's earnings are forecast to grow, but not significantly.
Revenue vs Market: SHL's revenue (5% per year) is forecast to grow faster than the Australian market (4% per year).
High Growth Revenue: SHL's revenue (5% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: SHL's Return on Equity is forecast to be low in 3 years time (11%).
How has Sonic Healthcare performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: SHL has high quality earnings.
Growing Profit Margin: SHL's current net profit margins (8.8%) are higher than last year (8.1%).
Past Earnings Growth Analysis
Earnings Trend: SHL's earnings have grown by 8.8% per year over the past 5 years.
Accelerating Growth: SHL's earnings growth over the past year (23.6%) exceeds its 5-year average (8.8% per year).
Earnings vs Industry: SHL earnings growth over the past year (23.6%) exceeded the Healthcare industry 8.7%.
Return on Equity
High ROE: SHL's Return on Equity (10.8%) is considered low.
How is Sonic Healthcare's financial position?
Financial Position Analysis
Short Term Liabilities: SHL's short term assets (A$1.4B) do not cover its short term liabilities (A$2.1B).
Long Term Liabilities: SHL's short term assets (A$1.4B) do not cover its long term liabilities (A$3.3B).
Debt to Equity History and Analysis
Debt Level: SHL's debt to equity ratio (50.6%) is considered high.
Reducing Debt: SHL's debt to equity ratio has reduced from 67.1% to 50.6% over the past 5 years.
Debt Coverage: SHL's debt is well covered by operating cash flow (36.4%).
Interest Coverage: SHL's interest payments on its debt are well covered by EBIT (8.2x coverage).
Inventory Level: SHL has a high level of physical assets or inventory.
Debt Coverage by Assets: SHL's debt is not covered by short term assets (assets are 0.5x debt).
What is Sonic Healthcare's current dividend yield, its reliability and sustainability?
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: SHL's dividend (3.65%) is higher than the bottom 25% of dividend payers in the Australian market (3.15%).
High Dividend: SHL's dividend (3.65%) is low compared to the top 25% of dividend payers in the Australian market (8%).
Stability and Growth of Payments
Stable Dividend: SHL's dividends per share have been stable in the past 10 years.
Growing Dividend: SHL's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonable payout ratio (69%), SHL's dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: SHL's dividends in 3 years are forecast to be covered by earnings (70.5% payout ratio).
How experienced are the management team and are they aligned to shareholders interests?
Average board tenure
Colin Goldschmidt (65yo)
Dr. Colin Stephen Goldschmidt, M.B.B.Ch., F.R.C.P.A., F.A.I.C.D. serves as the Chief Executive Officer of Sonic Healthcare Limited since 1993 and has been its Managing Director since 1992. Dr. Goldschmidt ...
CEO Compensation Analysis
Compensation vs Market: Colin's total compensation ($USD3.38M) is about average for companies of similar size in the Australian market ($USD2.88M).
Compensation vs Earnings: Colin's compensation has been consistent with company performance over the past year.
|CEO, MD & Executive Director||no data||AU$5.54m||0.16% A$17.0m|
|Finance Director||30.33yrs||AU$2.46m||0.14% A$15.2m|
|Executive Director||18.75yrs||AU$814.00k||0.0019% A$202.1k|
|Non-Executive Independent Director||9.75yrs||AU$240.00k||0.0044% A$482.9k|
|Independent Non-Executive Director||2.58yrs||AU$220.00k||0.0021% A$225.1k|
|Chairman of the Board||4.42yrs||AU$425.00k||0.0018% A$195.6k|
|Non-Executive Independent Director||14.83yrs||AU$258.00k||0.0015% A$161.7k|
|Non-Executive Independent Director||9.75yrs||AU$233.00k||0.0016% A$179.2k|
Experienced Board: SHL's board of directors are seasoned and experienced ( 12.3 years average tenure).
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: SHL insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 10.9%.
Sonic Healthcare Limited's company bio, employee growth, exchange listings and data sources
- Name: Sonic Healthcare Limited
- Ticker: SHL
- Exchange: ASX
- Founded: 1934
- Industry: Health Care Services
- Sector: Healthcare
- Market Cap: AU$10.926b
- Shares outstanding: 475.05m
- Website: https://www.sonichealthcare.com
Number of Employees
- Sonic Healthcare Limited
- Grosvenor Place
- Level 22
- New South Wales
|Ticker||Exchange||Primary Security||Security Type||Country||Currency||Listed on|
|SHL||ASX (Australian Securities Exchange)||Yes||Ordinary Shares||AU||AUD||Jan 1992|
|SKHC.F||OTCPK (Pink Sheets LLC)||Yes||Ordinary Shares||US||USD||Jan 1992|
|SAB||DB (Deutsche Boerse AG)||Yes||Ordinary Shares||DE||EUR||Jan 1992|
|SHL||CHIA (Chi-X Australia)||Yes||Ordinary Shares||AU||AUD||Jan 1992|
|SKHH.Y||OTCPK (Pink Sheets LLC)||SPONSORED ADR||US||USD||Aug 2017|
Sonic Healthcare Limited, a healthcare company, provides medical diagnostic services, and administrative services and facilities to medical practitioners. The company operates through Laboratory, Imaging, and Other segments. It offers laboratory medicine/pathology and radiology/diagnostic imaging services to clinicians, hospitals, community health services, and their patients. The company also provides general practice, occupational health services, remote health services, community and home nursing services, primary care research programs, health assessment technologies, hospital avoidance programs, and clinical trials and chronic disease management programs. In addition, it offers Phase I-IV clinical trials, safety testing, and patient monitoring services to the pharmaceutical, biotechnology, and research organizations. The company operates 233 primary care clinics. Sonic Healthcare Limited operates in Australia, the United States, Germany, and internationally. The company was formerly known as Sonic Technology Australia Limited and changed its name to Sonic Healthcare Limited in November 1995. Sonic Healthcare Limited was incorporated in 1934 and is headquartered in Sydney, Australia.
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2020/04/03 10:34|
|End of Day Share Price||2020/04/03 00:00|
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.